Core Viewpoint - The first batch of three Sci-Tech Innovation Board growth stocks was listed on October 28, with multiple ETFs that participated in the allocation issuing risk warnings regarding potential discrepancies between the ETFs' net asset values and the market prices of the newly listed stocks [1][2][4]. Group 1: Listing and ETF Participation - The first three registered companies on the Sci-Tech Innovation Board, He Yuan Bio, Xi'an Yicai, and Bibet, officially listed on October 28 [2]. - Several ETFs, including those managed by Huaxia Fund, participated in the online and offline allocation of the first batch of growth stocks [2][6]. - The ETFs' indicative net asset value (IOPV) on the listing day only reflects the issue price of the growth stocks and does not account for market price fluctuations, leading to potential discrepancies [1][4]. Group 2: Allocation Results - Over 100 ETFs and their linked funds participated in the offline allocation, with A-class investors receiving significantly higher allocation ratios compared to B-class investors [5][7]. - The allocation ratios for A1, A2, A3, and B-class investors were 0.081%, 0.027%, 0.009%, and 0.0089%, respectively [5]. - The allocation amounts for individual stocks were limited, with none exceeding 0.1% of the ETFs' net asset values [7]. Group 3: Specific Allocation Data - Specific allocation data for the stocks included: - Bibet: Issued at 17.78 CNY, allocated 6,971 shares, totaling approximately 123,944.38 CNY, representing 0.0025% of the fund's net value [8]. - He Yuan Bio: Issued at 29.06 CNY, allocated 7,842 shares, totaling approximately 227,888.52 CNY, representing 0.0046% of the fund's net value [9]. - Xi'an Yicai: Issued at 8.62 CNY, allocated 32,866 shares, totaling approximately 283,304.92 CNY, representing 0.0057% of the fund's net value [9].

Group 1 - Investors face arbitrage risks when participating in ETF investments due to market trading mechanisms and technical constraints, which can delay the completion of arbitrage [1] - Operational or technical risks may arise from system failures affecting normal trading processes, including errors in subscription and redemption lists or incorrect calculation of the indicative optimized portfolio value (IOPV) [1] - There is a delisting risk if an ETF no longer meets the listing requirements of the stock exchange or is terminated early by a resolution from fund shareholders [1] Group 2 - Investors should clarify their investment needs, including goals, plans, and the market or industry themes they wish to target, as ETFs primarily track the performance of underlying indices through full replication [2] - It is essential for investors to fully understand the risks associated with ETF investments by reviewing the "Risk Disclosure" section in the fund's prospectus [2] - Attention should be paid to the liquidity and tracking effectiveness of ETFs, with a preference for larger, more liquid ETFs that exhibit lower tracking errors [2]

Group 1 - The main risks faced by investors in ETF investments include deviations between the returns of the underlying index and the average returns of the stock market [1] - The volatility of the underlying index can lead to fluctuations in the prices of constituent stocks, affecting the fund's price and net asset value [1] - Tracking error may not meet the agreed targets due to various factors, causing discrepancies between the fund's market performance and its benchmark [1] - Liquidity risks may arise in the secondary market due to insufficient trading volume, impacting the ability to buy or sell ETFs [1] - There is a risk of significant deviation between the trading price of ETF shares in the secondary market and the fund's unit net value, influenced by supply and demand dynamics [1]

Group 1 - The article discusses various risks associated with ETF investments, including arbitrage risk, operational or technical risk, and delisting risk [1][2][3] - Arbitrage risk arises due to the time required for investors to complete arbitrage transactions, as well as transaction costs and market conditions affecting the ability to effectively arbitrage [1] - Operational or technical risks may occur due to system failures impacting the normal execution of trades, which can affect investor interests [1] - Delisting risk is highlighted, indicating that ETFs may be terminated if they no longer meet exchange listing requirements or through decisions made by fund shareholders [2] Group 2 - Investors are advised to clarify their investment needs, including goals and the specific market or industry themes they wish to target [2] - Understanding the risks associated with ETF investments is crucial, and investors should refer to the fund's prospectus for detailed risk disclosures [2] - Attention should be paid to the liquidity and tracking performance of ETFs, with a recommendation to choose larger, more liquid ETFs with lower tracking errors [2]

Group 1 - The core viewpoint of the articles highlights the various risks associated with ETF investments, including deviations in returns, volatility, tracking errors, and liquidity issues [1][2]. Group 2 - Risk of deviation between the returns of the underlying index and the average returns of the stock market, as the index may not fully represent the entire market [1]. - Risk of volatility in the underlying index due to factors such as economic development and company performance, which can affect the fund's price and net asset value [1]. - Risk of not achieving the agreed target for tracking error, influenced by factors like sampling replication, corporate actions, and market conditions [1]. - Liquidity risk in the secondary market, where insufficient trading volume may lead to challenges in buying or selling ETFs [1]. - Risk of significant deviation between the trading price of ETF shares in the secondary market and the fund's net asset value, influenced by supply and demand dynamics [2].